AX Retail 2012 offline service not starting.

Service cannot be started. System.IO.FileNotFoundException: Could not load file or assembly ‘Microsoft.Synchronization.Data, Version=3.1.0.0, Culture=neutral, PublicKeyToken=89845dcd8080cc91’ or one of its dependencies. The system cannot find the file specified.
File name: ‘Microsoft.Synchronization.Data, Version=3.1.0.0, Culture=neutral, PublicKeyToken=89845dcd8080cc91’
at Microsoft.Dynamics.Retail.Offline.Service.SyncService.OnStart(String[] args)
at System.ServiceProcess.ServiceBase.ServiceQueuedMainCallback(Object state)

=== Pre-bind state information ===
LOG: User = IGNIFY\sumit.potbhare
LOG: DisplayName = Microsoft.Synchronization.Data, Version=3.1.0.0, Culture=neutral, PublicKeyToken=89845dcd8080cc91
(Fully-specified)
LOG: Appbase = file:///C:/Program Files (x86)/Microsoft Dynamics AX/60/Retail POS/RetailOffline/
LOG: Initial PrivatePath = NULL
Calling assembly : Microsoft.Dynamics.Retail.Offline.Service, Version=6.0.0.0, Culture=neutral, PublicKeyToken=31bf3856ad364e35.